Plan Fee Disclosure
RSS Issue FeedUnder ERISA, fiduciaries (usually the employers) are required to operate benefit plans for the exclusive purpose of providing benefits to participants and their beneficiaries and defraying reasonable expenses of administering the plan. Pursuant to these requirements, there have been claims by plaintiffs and concern in Congress that fees within employer provided plans are too high. As such, there have been demands for greater disclosure of information on fees.
The Chamber supports disclosure and transparency of information that allows participants to make informed decisions about their investments. It is important that participants have the necessary tools and information to maximize their investment decisions. In order to be beneficial to participants, however, such information should be useful and easily understood. Moreover, it is equally important that disclosure requirements are not unduly burdensome to the employer—particularly if they do not provide meaningful information to the participant.
